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BT Explainer: How India’s Rs 10,000-cr ATF Fund will operate amid aviation fuel shock

Business Today·2026-06-03 13:44:40·1 view

As aviation fuel prices surge due to escalating tensions in West Asia, the Centre has approved a ₹10,000-crore Aviation Turbine Fuel (ATF) stabilisation mechanism to shield Indian airlines from extreme fuel cost volatility. The temporary support framework aims to ensure predictable fuel pricing, protect air connectivity, and reduce pressure on airfares during a period of geopolitical uncertainty.

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